Kuwait has extended its oil credit line to Pakistan for two unprecedented years, marking a deepening bilateral cooperation in the energy sector.
The announcement was held during a meeting between the Kuwaiti ambassador Nassar Abdulrahman J. Almutairi and the Federal Minister of Petroleum of Pakistan Ali Pervaiz Malik in Islamabad on Wednesday.
According to a declaration of the oil division, this is the first time that Kuwait gives Pakistan an extension of two years, since the installation has traditionally been renewed annually.
Minister Malik thanked Kuwait for his continuous support, describing the gesture as a timely impulse for the energy security and economic resistance of Pakistan. He also appreciated the “special accommodations” made by Kuwait in recognition of Pakistan’s evolutionary needs.
Ambassador Almutairi reaffirmed Kuwait’s commitment to expand economic and energy ties with Pakistan, expressing his confidence in the country’s current growth trajectory. The discussions during the meeting also explored new investment opportunities in the Pakistan oil sector.
The extended oil credit line is expected to relieve pressure on Pakistan currency reserves, which have remained under tension due to high energy import costs.
Pakistan’s economy has shown signs of stabilization after a rescue of the International Monetary Fund (IMF) of $ 7 billion, which helped avoid non -compliance in 2024. However, energy imports continue to be an important drainage in foreign reserves, which leads Islamabad to seek credit agreements and regional partners flights.
In February, Saudi Arabia extended an oil financing installation of $ 1.2 billion through the Saudi Development Fund (SFD) for another year. Since 2019, the SFD has provided around $ 6.7 billion to Pakistan for the importation of oil derivatives.
The Kuwaiti installation, now extended for two years, represents a strategic step to reinforce Pakistan’s energy supply while solidifying regional associations that play a crucial role in the country’s economic road map.
